After multifilter photometry of the W UMa-type contact binary VW Cep (P = 6.67 hr; G5V + K0V) in 1986/87 revealed large asymmetries in the light curves believed to be caused by large, cool starspot regions on the surface of the larger stars, in Apr. 1987 it was observed with IUE to study the chromospheres and transition regions of the components. During one complete orbital cycle, three SWP and four LWP low dispersion spectra were obtained, including and then excluding the suspected active region. Phase dependent TR line emission strengths were found, most notably C IV, which is 50 percent stronger when the spot region is most visible. The results could be important because VW Cep represents an extreme case for studying stellar dynamo theory and observations can play a crucial role in the unterstanding of magnetic fields and activity cycles in rapidly rotating solar-like stars.